π‘ What to Include (and Exclude) in the Sale Agreement When Selling Your House
When you’re ready to sell your home in South Africa, one of the most important documents you’ll deal with is the Sale Agreement — also known as the Offer to Purchase. It’s not just a formality; it’s a legally binding contract that protects both the seller and the buyer.
Getting this document right can mean the difference between a smooth, successful sale and months of frustration or even legal disputes. Here’s what every South African homeowner should know about what to include (and avoid) in a property Sale Agreement.
✅ What to Include in a Sale Agreement
1. Full Details of the Parties
Every contract starts with the basics — the full names, ID numbers, and contact details of both the buyer and seller.
If one of the parties is acting on behalf of a company or trust, include the entity’s registration details and representative’s authority to sign.
2. Property Description
Make sure your property is described exactly as it appears on the Title Deed. This includes:
- Erf number and physical address
- Property size (in square meters or hectares)
- Any outbuildings, garages, or granny flats included in the sale
A detailed description prevents disputes about what’s actually being sold.
3. Purchase Price and Payment Terms
The purchase price and how it will be paid must be clearly stated. Include:
- Whether the sale is cash or subject to bond approval
- The deposit amount and when it’s due
- The balance payment details and where funds should be transferred
Transparency here helps prevent delays once the buyer’s financing is in motion.
4. Occupation Date and Occupational Rent
Specify the date when the buyer will take occupation. If they move in before the property is officially transferred, they’ll need to pay occupational rent — a fair monthly fee agreed upon upfront. This ensures the seller isn’t out of pocket while ownership is still being processed.
5. Fixtures and Fittings
This is one of the most common causes of post-sale disputes. Clearly list what stays with the home and what doesn’t.
Fixtures (that stay): built-in cupboards, light fittings, stoves, and satellite dishes.
Fittings (that go): curtains, mirrors, and movable appliances — unless otherwise agreed in writing.
Never assume; always list both included and excluded items explicitly.
6. Special Conditions
Special conditions are unique terms that must be met before the sale becomes final. Common examples include:
- Sale subject to the buyer obtaining home loan approval
- Sale of the buyer’s existing property
- Provision of compliance certificates (electrical, plumbing, beetle, gas, etc.)
- Any specific repairs or improvements agreed upon before transfer
These clauses ensure that both parties know exactly what must happen — and by when.
7. Agent’s Commission
Include the estate agent’s details, the commission amount, and who will pay it (usually the seller).
This helps avoid confusion and ensures your agent is compensated fairly once the sale is finalised.
8. Transfer and Conveyancing Details
The conveyancing attorney — usually appointed by the seller — handles the legal transfer of the property.
Your agreement should name the attorney and outline the estimated timeframe for transfer (usually 8–12 weeks after bond approval).
9. Dispute Resolution Clause
No one likes to think about disputes, but they can happen.
A good agreement includes a dispute resolution clause, outlining whether issues will be handled through mediation, arbitration, or legal proceedings. This keeps everyone protected and avoids drawn-out court battles.
10. Signatures and Witnesses
For your Sale Agreement to be valid, it must be signed by both parties — ideally on every page — in the presence of witnesses.
An unsigned or incomplete agreement can lead to costly delays during transfer.
π« What to Exclude (or Handle Carefully)
While it’s important to be thorough, there are a few things that shouldn’t appear in your agreement — or need to be managed with caution:
- Verbal promises or side deals — Always put everything in writing.
- Hidden defects — You are legally obligated to disclose known defects.
- Under-the-table payments — Avoid any arrangements that bypass legal or tax obligations.
- Unrealistic deadlines — Allow sufficient time for financing and transfer to go through.
- Emotional or uncertain clauses — Keep it professional and enforceable.
π‘ Lake Properties Pro-Tip
A clear, detailed Sale Agreement is your safety net.
Always ensure that both parties initial every page, list all fixtures, and understand all conditions before signing. At Lake Properties, we help sellers draft and review Sale Agreements that comply fully with the Consumer Protection Act and Deeds Registry Act, ensuring your property sale goes through smoothly — and without surprises.
π Ready to Sell Your Home in Cape Town?
Let the experts at Lake Properties guide you every step of the way — from setting the right price to drafting the perfect Sale Agreement.
π Contact us today to book a free consultation or property valuation.
Lake Properties — Where Trust Meets Transparency in Real Estate.
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Russell
Lake Properties
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info@lakeproperties.co.za
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